Home   >   Breaking News   >   Creditors committee reject GOB’s super bond restructuring offer

Creditors committee reject GOB’s super bond restructuring offer

By on January 17, 2017
Flag of Belize

Flag of Belize

Belmopan, CAYO. Tuesday, January 17, 2017. The government of Belize today got some bad news: creditors have rejected Belmopan’s offer to restructure the super bond.

A report carried by Reuters today reported from New York that the proposed changes to Belize’s US$530 million super bond was rejected by the creditors committee.

It is the third time that Belize is looking to restructure the super bond and the creditors, according to the international report, are weary of green-lighting the proposal, given the country’s current economic realities.

According to the Reuters report, the Belize Government restructure proposal “would reduce the net present value of the bond by over 40%.”

Belize is also seeking to restructure the amortization schedule and reduce the coupon on the note. But the creditors committee believes that the economic measures that Belize has put on the table as “unlikely to reduce future risks to debt sustainability or to the stability of the country’s currency peg in a sufficient manner.”

But the rejection of GOB’s restructuring proposal is not without suggestion on the way forward.

The creditors, according to the Reuters report, want the Barrow administration to put forward “a comprehensive home-grown adjustment program” which would be acceptable to the lenders.

_____________________________________________________________________________________________

This report is sponsored by:

emil pulido_____________________________________________________________________________________________

 

 

Leave a Reply

Your email address will not be published. Required fields are marked *

CAPTCHA Image

*